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BMW says current M3 sold out, no new AWD M models planned

Car and Driver asked the head of BMW M, Friedrich Nitschke, a few questions about what the go-fast division had in mind for the future, and was rewarded with some enlightening answers. The best news to purist ears is that Nitschke said customers don't want all-wheel drive on their M cars, so it's the rear wheels alone that will propel new product into the future. If you want both an M badge and four driven wheels, it's the X5 M, X6 M and M Performance models you're looking for in the catalog.
"Mixed bag" is the phrase you're looking for regarding the other answers. Nitschke said that future M engines "at the core of their architecture" would "be closer to BMW AG engines" that are optimized for M cars, instead of following in the line of unique marvels like the V10 and naturally aspirated V8. They will keep the high redlines, however, with Nitschke saying "there is room beyond" the 7,000 rpm mark in BMW's current V8 turbos.
Managing weight will keep the same priority for M that it is for every other brand, so electrically assisted power steering is coming, as is an "unconventional" materials mix. At the smaller end of the M scale, Nitschke described three-cylinder engines as "attractive," saying that the brand can produce more than 310 horsepower from a three-pot.

Toyota close to licensing deal with BMW for fuel cell technology

For over a year now, we've been hearing about a potential partnership between Toyota and BMW on everything from sports cars to lithium-ion batteries, but one of the first cooperative projects between these two automakers could bring Toyota's hydrogen fuel cell technology to a BMW vehicle. Reuters is reporting that an announcement is likely to be made as soon as later this week regarding a BMW fuel cell vehicle that could be in production by 2020 with a prototype running around by 2015.
The last we heard of Toyota's fuel cell technology, it was in the FCV-R Concept that we saw at the 2011 Tokyo Motor Show, but there is no word how far along in development this system is. If it does come to fruition, such a vehicle for BMW would build on the automaker's commitment to hydrogen that started with the Hydrogen 7, which unlike a fuel cell vehicle, simply ran on hydrogen fuel rather than converting it to electricity for use in motors. We're definitely interested where this Toyota/BMW tie up could be headed.

Mercedes may be working on a new electric car dubbed 'Ecoluxe'

Automobile has a lengthy piece this month on how the four German mass-market luxury manufacturers each plan to go after Tesla with their own electric vehicles. It was written by Georg Kacher, the magazine's European bureau chief, and the English version came a month after he wrote the German-language original for Autobild. Tesla isn't exactly a threat to the Germans, but, according to the report, the Model S is planting the right kinds of seeds in niches that are important to the luxury players. The thinking is that - in addition to needed electric vehicles anyway for stricter US regulations - it's better to start designing the machinery now. The article posited Porsche's attack would rest on the coming Panamera platform, but a big hurdle would be battery placement. Unable to find one large space for a lithium-ion pack, engineers would instead put batteries everywhere they could, for a supposed tally of some "108 battery pouches" throughout the body. A few days after the Automobile piece, however, Porsche publicly said it had no intention of challenging the Model S, because the enthusiastic driving the brand is known for doesn't jive with useful range. In Kacher's retelling, Mercedes' plans are even more ambitious, supposedly taking aim at the Model S and the coming Model X. It would do this with an investment in excess of $2 billion in a program called "Ecoluxe" – Mercedes has no brand division akin to BMW's i and Audi's e-tron. The new brand would create a four-strong family of bespoke electric vehicles: a smaller platform with a wheelbase around 106 inches and a larger one with a wheelbase around 118 inches. In addition, the range would have "provisions for rear-wheel drive, all-wheel drive, and rear-wheel steering." The numbers are impressive: seating for seven in the larger vehicles, both longer than 16 feet, front and rear storage areas, ratings of up to 610 horsepower and production capacity of 80,000 units per year. When would we see such creatures? Perhaps as soon as 2019. We do know that if Tesla can knock the Model X over the outfield fence, automakers are going to have to do something. We don't know what the chances are that Ecoluxe is Mercedes' first move - but such a plan could help explain the weird Mercedes concept spied in October.